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At the beginning of the game, all your colonists will be Tory Loyalists, who support your Monarch and are opposed to your policies. For this reason, colonies with more than a certain number of tories (which depends on the difficulty setting and defaults to four colonists) suffer a production penalty of one unit. If the limit is exceeded by four colonists, the penalty increases to two units and may well threaten the survival of the colony.
Liberty Bells, however, will turn these Tories into Sons of Liberty, who support your policies. Colonies in which more than 50% of the population are Sons of Liberty enjoy a production bonus of one unit, which is increased to two units as soon as 100% of the population become Sons of Liberty.